Shariah observation: advertising practices of Bank Muamalat in Malaysia

• Main Authors: Haque, A. K. M. Ahasanul, Khaliq, Ahmad, Jahan, Syeada Irfath
• Format: Article
• Language: English; English
• Published: Emerald Group Publishing Limited 2010
• Subjects: HJ1438 Public Finance In Islam
• Online Access: http://irep.iium.edu.my/73990/1/2010-Article%20in%20Islamic%20Marketing%20Journal-Ahsanul-%20Khaliq%20et.al.pdf; http://irep.iium.edu.my/73990/7/73990%20Shariah%20observation%20SCOPUS.pdf; http://irep.iium.edu.my/73990/; https://www.emerald.com/insight/content/doi/10.1108/17590831011026240/full/html

The purpose of this paper is to assess the existing advertising practices in Malaysia and their compliance with the Shariah (Islamic Law). The study is using descriptive method- observations, the promotional tools and practices- used by the prominent conventional banks were compared to those used by the Islamic banks. A total of 40 different advertisements were assessed as well as staff and personnel from 30 branches were interviewed. The paper reveals that customers remain unaware of the Islamic bank's products. Shariah-based promotions will help increase customer awareness of these banks and their offerings. Implications for future research on Shariah-based promotions and advertising will improve bank's effectiveness and help position them as role models for other advertisers, both Islamic and non-Islamic. The producers of Islamic advertisements need to apply precise screening procedures that ensure the delivery of their message through Shariah-compliant methods. The paper contributes to research through improving understanding of the main issues relating to the effect of advertising practices in Islamic societies.